Medicare Costs
Part A – Hospital Insurance
- Premium (monthly): $0 for most people (because they or a spouse worked and paid Medicare taxes).
- If you don’t qualify for premium-free Part A, you might pay about $311 or $565 per month, depending on your work history.
- Deductible: About $1,736 per hospital benefit period before Medicare starts paying.
Part A also has coinsurance for extended stays (e.g., different daily amounts after the first 60 days).
Part B – Medical Insurance
- Monthly Premium: $202.90 for most people — the standard amount in 2026.
(Higher-income individuals pay more through an income-related premium surcharge, called IRMAA.) - Annual Deductible: $283 before coverage begins.
- Coinsurance: After deductible, you typically pay 20% of Medicare-approved costs for many services.
Part C – Medicare Advantage
- Monthly Premium: Varies by plan and provider, but the average basic premium is about $14.00 per month in 2026.
- Plans must include everything in Parts A & B, and many include prescription drug coverage.
- Out-of-Pocket Limit: Most plans set a yearly cap on how much you pay for covered services (e.g., up to about $9,250).
Part D – Prescription Drug Coverage
- Monthly Premium: Varies by plan, but the average stand-alone Part D premium is about $34.50 per month in 2026.
- Deductible: Can be as high as $615 per year (maximum allowed).
- There’s a protection threshold (about $2,100 out-of-pocket) where costs for covered drugs stop increasing.
Review Costs Every Year
Medicare costs often change each year (premiums, deductibles, maximum out-of-pocket limits), so review them during open enrollment.
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